Azerbaijan’s Cabinet of Ministers approved a pilot regional business loan portfolio totaling 500 million manats, or about $294 million, with state guarantees capped at 250 million manats, or roughly $147 million.
The mechanism applies to businesses operating outside Baku, the Absheron district and territories restored to Azerbaijani government control, according to Vesti Baku.
The pilot program will remain in effect through Dec. 31, 2030.
Government Sets Portfolio and Guarantee Limits
Prime Minister Ali Asadov signed the order establishing the total volume of loans that may be issued through the guarantee mechanism and the maximum amount of the state’s obligations.
The order took effect when it was signed. The Economy and Finance ministries were instructed to resolve issues related to its implementation.
The 250 million-manat ceiling does not mean the government will automatically guarantee half of every loan. The terms and level of coverage for individual projects will be determined as applications are reviewed under the existing mechanism.
Report independently confirmed the portfolio size, guarantee ceiling, geographic scope and 2030 end date.